The Millers Association of Zambia has described as ridiculous speculations by government that Millers have began forming cartels to unfairly benefit from this year’s bumper harvest.
MAZ vice chairperson Peter Cottan who is also National Milling Corporation Managing Director has since challenged Government to go on and investigate their suspicions of the alleged formation of cartels by Millers.
He says the announcement made by him on behalf of National Milling to reduce prices was in a bid to lead others to follow suit or risk losing their market.
Mr Cottan said it is not possible for millers to start reducing the prices now because they are still buying maize from the 2008 and 2009.
He said that Government should not mislead people that prices of mealie-meal must be low stressing that the decision taken by National Milling may not be possible for other millers to follow suit.
Mr Cottan added that he did not make the announcement for the reduction of mealie-meal prices in his capacity as a representative of MAZ but as managing director for the National Milling.
He expressed shocked about the route of suspicions stressing that the milling business is highly competitive and that millers cannot seat together and set prices as they have to compete against each other owing to the already over capacity in the industry.
Government has said that it is monitoring the millers’ price fixing amidst the bumper harvest that the country has recorded.
[ QFM ]
Everything worthy pooling customers or poor people’s money always attracts such mischievious manupilations from those that have the capacity. In this regard only the well abled farmers will benefit. A poor peasant will sell his at the same price as previous seasons and the gain is ony enjoyed by those capable of deliverying or selling without zambia’s borders. I was shocked ZIM plans to buy our maize. BOB is a wise man whichever way we judge him.The capable ones r the RB’s, CHIMSOROS & many other ministers who procure and amass land by virture of them being MMD or in the ruling Govt. The few that will afford r those in the diaspora or the foreigners farmers from Zimbabwe. In any case, the benefit to poor zambians may not dawn any time soon & by the time it does, maize prices would go…
I knew that that there was something wrong with that announcement